Mehmet Fatih Sumeli, the Managing Director of Yağmur Süt Zeytin ve Et Ürünleri San. Tic. Ltd. Şti., told Anadolu Agency that there had been a crop shortage of approximately 60-70% compared to previous years due to drought in olive trees in Spain, Italy, and France.
"Olive and olive oil production in Europe has entered a drought crisis, and all eyes are turning to Türkiye."
Sumeli stated that these countries were compensating for the loss by importing bulk olive oil from other producing countries. He mentioned that due to the increased demand, the price of oil-producing olives in Türkiye had risen from around 15 liras per kilogram to approximately 35 liras. In an effort to maintain their leadership in the world-branded olive oil market, countries like Spain are collecting olive oil from various sources. However, he highlighted the issue of some local companies in Türkiye collecting products from national and local markets, converting packaged products into bulk form, and exporting or supplying raw materials to exporters. Sumeli emphasized that this crisis could be turned into an opportunity by increasing exports of branded products. He urgently suggested closing bulk olive oil exports and only allowing small packaged and domestic branded products for sale. Otherwise, with the current high value of oil-producing olives, no producer would be willing to sell them for table olives; instead, they would extract the oil and sell it at a higher price.
Sumeli pointed out that there might be a crop shortage in the upcoming olive season in September, and he expressed his concern, saying:
"If such a situation occurs, and the base price for oil-producing olives starts at 40 liras, then by January, the cheapest price for table olives per kilogram at retail points will reach around 150 liras, and the large-sized olives will be around 350-400 liras. The price of 1 liter of olive oil may also reach about 350 liras. The bulk olive oil exports, which have no benefit or added value for our country, should be closed for the common benefit of all citizens. If there is no crop shortage, it can be reopened until December."
Sumeli also indicated that the olive stock in the country was currently low, and he warned about the possibility of counterfeit olive oil entering the market.
He mentioned that within two months, the price of large-sized olives in Türkiye had increased from 99 liras per kilogram to 180 liras, and if the situation continued, the price could reach around 250 liras by September.
If export restrictions are not implemented, there will be a shortage of table olives in Türkiye after three months," stated Ali Yıldız, a Board Member of İkram Gıda AŞ, emphasizing that prices of olives and olive oil had risen due to exports. He added, "The reason is that, although not as much as in Europe, olives are also scarce in Türkiye this year. If urgent intervention is not taken, the price of one liter of olive oil in the markets will reach 300-350 Turkish liras, and table olive prices will rise up to 400-450 Turkish liras in January-February."
